Agenda - Council - 08/27/2019 - Laserfiche WebLink

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CHALLENGES AND OPPORTUNITIES mixed -income and ownership multifamily housing. At least 20% of the units need to be affordable. Typically located near a TOD or BRTOD location. o Density Bonuses — Since the cost of land is a significant barrier to housing affordability, increasing densities can result in lower housing costs by reducing the land costs per unit. The City of Ramsey can offer density bonuses as a way to encourage higher -density resi- dential development while also promoting an affordable or mixed -income housing com- ponent. o Fast Track Permitting— Program designed to reduce delays during the development process that ultimately add to the total costs of housing development. By expediting the permitting process costs can be reduced to developers while providing certainty into the development process. Typically, no -cost to the local government jurisdiction. o Home Improvement Area (HIA) - HIAs allow a townhome or condo association low inter- est loans to finance improvements to common areas. Unit owners repay the loan through fees imposed on the property, usually through property taxes. Typically, a "last resort" financing tool when associations are unable to obtain traditional financing due to the loss of equity from the real estate market or deferred maintenance on older properties. o Infill Lots —The City or HRA purchase blighted or substandard housing units from willing sellers. After the home has been removed, the vacant land is placed into the program for future housing redevelopment. Future purchasers can be builders or the future owner -occupant who has a contract with a builder. Typically, all construction must be completed within an allocated time -frame (one year in most cases). o Land Banking— Land Banking is a program of acquiring land with the purpose of devel- oping at a later date. After a holding period, the land can be sold to a developer (often at a price lower than market) with the purpose of developing affordable housing. o Live Where You Work - Program designed to promote homeownership in the same community where employees work. City provides a grant to eligible employees to pur- chase a home near their workplace. Employers can also contribute or match the city's contribution. Participants must obtain a first mortgage through participating lenders. The grant can be allocated towards down payment assistance, closing costs, and gap fi- nancing. Some restrictions apply (i.e. length of employment, income, home buyer edu- cation, etc.) o Realtor Forum - Typically administered by City with partnership by local school board. Inform local Realtors about school district news, current development projects, and other marketing factors related to real estate in the community. In addition, Realtors usually receive CE credits. o Remodeling Tours - City -driven home remodeling tour intended to promote the en- hancement of the housing stock through home renovations/additions. Homeowners open their homes to the public to showcase home improvements. o Rent to Own - Income -eligible families rent for a specified length of time with the end - goal of buying a home. The HRA saves a portion of the monthly rent that will be allo- cated for a down payment on a future house. MAXFIELD RESEARCH AND CONSULTING 153